FedEx Express has extended its express air transportation contract with the United States Postal Service (USPS) by more than seven years.
Originally executed on April 23, 2013, the contract modification extends the agreement through September 29, 2024.
The modified contract is expected to generate revenue of approximately US$1.5bn annually for FedEx Express, as the company will provide airport-to-airport transportation of USPS Priority Mail Express and Priority Mail within the USA.
David J Bronczek, president and CEO of FedEx Corporation, said, “We are pleased to be able to extend this agreement and to continue the outstanding service that FedEx Express has provided to USPS for more than 16 years. This contract provides USPS with the operational reliability and flexibility they have come to expect from FedEx.”
February 27, 2017
